The commercial real estate market has suffered quite a lot due to the crisis the world is battling at the present. Forced closure and a rapid drop in sales have caused some businesses let go of their leases due to non-payment. Therefore, it is quite understandable that the market of commercial real estate for sale in Arizona had it’s challenges.
Dealing with crisis and much more
Despite all these issues, you cannot let go of hope, because time will turn, and it will be wise to be prepared for those opportunities. For instance, according to the current market trends, certain commercial real estate types will thrive in the post-crisis world. Knowing about these possible changes will allow you to be prepared, which will influence your future real estate investment decisions.
Commercial real estate options
The types of commercial real estate options which will experience a positive change are, as follows:
Last-mile warehousing or warehouses
The last-mile warehouses do belong under the broad term of commercial real estate, and these are the buildings which house packages before they get to their final destination. Due to this feature, these warehouses are located inside or adjacent to a city, specifically within highly populated residential areas. This allows rapid and more efficient delivery of the products as required. In the last few years, the e-Commerce industry has snowballed. With more people getting hooked on online shopping, the requirement of bigger or more last-mile warehousing options will only grow. For the benefits of logistics companies, such warehouses need to be centrally located, and that will instigate the sale of these buildings.
Micro apartment units
This may not seem commercial enough, but when you buy whole compounds instead of a single unit, you are dealing with commercial real estate instead of residential. These units are usually 200 to 400 square feet in size and efficiently designed to accommodate a single occupant. They also come with a plethora of facilities to make life convenient for the resident. This particular type of commercial property has become popular due to its low rent and all-around affordability. Moreover, these units are beneficial for both tenants, investors, and landlords. Because of its popularity, micro apartments are more profitable for the investors as well.
Neighborhood retail options
These are the choices that usually involve smaller shopping or strip centers and standalone buildings designed to provide the service needed by the surrounding neighborhood. The most common shops in such structures are grocery shops, restaurants, drugstores, daily conveniences, and several others. In the future, a lot of different businesses can relocate to these places. Before investing in one such project, it is better to understand the concept, because neighborhood retail is not like big-box retail. The neighborhood option is far more flexible and can maintain a higher occupancy rate.
Considering your options and creative thinking
In the last few months, commercial real estate investment has changed, and based on the current trend; it can be surmised that more changes are coming. As a seasoned investor, you are bound to be familiar with the ups and downs in the market. Therefore, it makes sense that you have to think differently to find the right investment option resulting in future success. Tips and suggestions from a company like Wealth BCI or Wealth Builders Capital Investment Inc. will definitely help.